In the unfortunate event of falling prey to an authorised push payment (APP) scam, swift and decisive action is paramount. This article provides guidance on reporting APP scams, delineating strategies and procedures for victims to follow.
How to Report APP Fraud?
Immediate reporting to the respective bank is crucial, providing them with the opportunity to intervene, potentially stopping the transaction or tracing misappropriated funds. For banks adhering to the CRM Code, a thorough investigation ensues, contingent upon the victim having acted appropriately. Reporting any fraudulent activity promptly is essential, even if the bank is not a CRM Code signatory, as alternative assistance measures may be in place.
Strategies for Banks
As the reimbursement landscape for APP scams undergoes revolutionary change, banks are compelled to recalibrate their strategies. This section provides strategic guidance for banks to navigate this new paradigm proficiently.
- Bolstering Data Analysis: Proactive collection and meticulous scrutiny of data for both incoming and outgoing transactions are paramount.
- Optimising Data Utilisation: Deployment of high-quality data and analytics is non-negotiable for accurate risk decisions.
- Shifting to Transaction Intent Focus: Distinguishing unauthorised transactions from scams necessitates a profound understanding of transaction intent.
- Investing in Customer Education: A nuanced approach to customer education, adeptly avoiding information overload, is indispensable.
- Establishing a Comprehensive Feedback Loop: The implementation of a continuous feedback loop stands as a cornerstone for enhancing risk assessment and response processes.
As the reimbursement landscape for APP scams evolves, embracing layered data analysis, instituting effective data utilisation, pivoting towards a transaction intent focus, facilitating comprehensive customer education, and establishing a robust feedback loop position banks not only for compliance with evolving reimbursement policies but also for fortifying their defences against financial malfeasance in an ever-evolving landscape.
